No More Huddles for Goldman

By
Lloyd Blankfein, Anna Quindlen== BARNARD COLLEGE: PASS THE TORCH Scholarship Dinner and Auction== 409 E 59th St, NYC== April 29, 2009== ? Patrick McMullan== Photo - ZACH HYMAN/PatrickMcMullan.com== ==

After a probe by the Massachusetts chief securities regulator, Goldman Sachs will discontinue the practice of "huddles," which, we were disappointed to learn, do not involve Lloyd Blankfein asking the mortgage-backed securities division to run a buttonhook. (Clear eyes, full hearts, can't lose money!)

Rather, they are private meetings between stock analysts and traders, and the "Asymmetric Service Initiative," as Goldman Sachs called it, allowed certain clients earlier access to traders' ideas. Despite ending huddles, Goldman remains insistent that the practice is not tantamount to sharing "tips."

Goldman Sachs Settles Massachusetts Probe of ‘Huddles’ [Bloomberg]